Responding to the Board's request, the CPA provided a useful briefing
about the financial functions and the operations of the DFI. The following
topics were covered during the briefing.

DFI Account Status

Oil Proceeds

Budget Process

Program Review Board

Contracting

Financial Operation

External Audit Update

Following a recap of the briefing, the Chair was requested to send a letter to the CPA seeking clarification on a number of issues including:

The controls with regards to the extraction of crude oil

Contracting process by the CPA, including circumstances relating
to single source contracts

Oil product barter sales, not currently reflected in the DFI accounts.

External Audit of the DFI

It was noted that progress had been made in the appointment
of external auditors for the DFI. The CPA had started the solicitation
process for the external auditors and proposals were due by February 18,
2004. Board members noted that finalization of the appointment process
was a priority and requested that the Chair ask the CPA to provide the
evaluation and selection criteria that would be used to select the external
auditor.

The IAMB Website

The IAMB website was officially launched on 13th February
2004. In the press release issued on 13 February 2004, the public was notified
of the availability
of the site which would serve as the informational platform for the Board.

Observers

It was noted that the CPA had nominated a candidate to serve as an observer.

Noting that the Governing Council of Iraq had not responded to the invitation
to nominate candidates to serve as observers to the IAMB, it was agreed
that the Chair would send a letter to the Governing Council of Iraq,
with a copy to the CPA, urging the council for its nominations.

Rules of Procedure

The Board adopted the draft Rules of Procedure after minor amendments
were made. It was also decided that the Rules of Procedure would be posted
on the website.

Press Release

The members agreed to issue a press release highlighting the results of
this meeting and to post this press release on the IAMB website.

Other Business

The Minutes for the 5th and 22nd December meetings
of the IAMB were adopted and posted on the website.

The members agreed that the venue of the next meeting will be at the
Arab Fund Headquarters in Kuwait at a date to be determined, preferably
to coincide
with the selection process of the External Auditors.